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Thacker Pass lithium project moves closer to reality after clearing US court hurdle

  • A judge’s mixed ruling allows construction to begin and rejects claims that the Lithium Americas’ Nevada project would prove detrimental to the environment
  • The proposed mine is a key pillar in President Biden’s efforts to wean US off Chinese supplies of lithium

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A geologist points to an area of future exploration from a drill site at the Thacker Pass lithium mine project in Nevada. File photo: The Daily Free Press via AP
A US judge on Monday ordered regulators to reconsider part of the permit approving Lithium Americas Corp’s Thacker Pass lithium mine project in Nevada, though the mixed ruling allows construction to begin and rejects claims that the project would cause unnecessary harm to the environment or wildlife.
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The proposed mine would be North America’s largest source of lithium for electric vehicle batteries and a key pillar in President Joe Biden’s efforts to wean his country off Chinese supplies of the metal.

General Motors Co signed a US$650 million deal last week to help develop the project, an agreement that hinges in part on a positive outcome in the long-running court case.

In a 49-page ruling, Chief Judge Miranda Du of the federal court in Reno, Nevada, ordered the US Bureau of Land Management (BLM) to determine whether Lithium Americas has the right to dump waste rock at the site.

Du, however, did not vacate a 2021 decision by former president Donald Trump to approve the mine. The ruling can be appealed.

Much of the US mining industry is ruled by an 1872 law that gives companies wide berth to extract metals on federal lands. However, a court ruled last year that miners do not necessarily have the right to store waste rock or erect buildings on federal land not containing valuable minerals.

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